Just over a third (35%) of UK organisations now give sales professionals and managers the option to go fully electric or hybrid; nearly double the figure of 19% in 2020.

Just over a third (35%) of UK organisations now give sales professionals and managers the option to go fully electric or hybrid, a rapid jump from 19% in 2020

The research, carried out by Willis Towers Watson, showed that allowing employees to choose electric or hybrid vehicles is becoming much more commonplace, and the pandemic and increased eco consciousness are both having a big impact on fleet planning and choices.

Its 2021 Car Benefits Survey Report reveals that a large number of UK employers are seeking to overhaul their company car policies in line with climate change concerns.

In fact, the introduction of more environmentally friendly cars is top of the list of planned car benefit changes in the next 12 months.

More than four in 10 (43%) UK companies named it in their top five priorities, up from 33% in 2020, while another 40% of companies are planning to change the make and models allocated, likely for more environmentally friendly cars.

Almost two-thirds (61%) of UK companies plan to review their company car benefit policies over the next year. While the most common reason was to align with market best practice or competitiveness – cited by 71% – the introduction of more environmentally friendly behaviours and policies was also an impetus for 57% of respondents.

Alongside this, a quarter (24%) of companies plan to introduce a CO2 emission ceiling on cars, joining the almost half (45%) of UK organisations that already have this in place.

The analysis for the consulting, brokerage and financial solutions specialist also found that almost a quarter (21%) of companies will even cover the home installation of a charging point, as well as the charging costs for plug-in vehicles.

And organisations are also seeking to reduce carbon footprints by embracing work from home policies, directly cutting car travel. Prompted by the pandemic and lockdowns, a total of 21% said they’re planning this, compared to just 3% in 2020, with similar numbers planning to reduce car travel through increased tele/web conferencing.

Samantha Rogers, reward data service consultant, said: “Companies are clearly aware of the growing urgency of the climate emergency. The pandemic has prompted organisations and employees to re-evaluate whether as many in-person meetings are necessary. It is also great to see that so many employers are planning to introduce electric or hybrid cars, and those that do will be able to benefit from tax advantages in some circumstances. It will be interesting to see how employers seek to make their car benefit policies more environmentally friendly in the years to come.”

The research has been published just days after FleetCheck said that electric vehicle company car schemes are fast-becoming a key retention and recruitment tool as the job market heats up following the pandemic.

Managing director Peter Golding said: “We are hearing a lot of anecdotal evidence from across our customer base that, where EVs are being offered to employees, there is a definite increase in satisfaction. It’s partially a financial benefit because BiK taxation is so low, but there is also a genuine momentum behind people wanting to adopt EVs.”

He added: “At a point in time when the jobs market looks as though it could be more competitive and fluid than for many, many years, the role of EVs in recruitment and retention appears to be something that will only grow while taxation remains low.”

To access the Willis Watson Towers research, click here.